Supply more stable The more bullish on titanium pigment market next year2015.11.23 09:15
Titanium dioxide after a collapse in the long term, finally ushered in the industry in the dying for stabilization, is almost crying is touched.
As things stand, titanium dioxide performance in the third quarter of the big three are still optimistic. Huntsman statement released in November already warning: titanium dioxide prices fall, fall is bigger, especially North America led to the company's performance in the third quarter fell. The company is also clear to shareholders at the same time, will spin off before the end of 2016 pigments and additives business. And the same time, the company will be in the fourth quarter bonuses slashed to 3 cents per share, than in the third quarter plunged nearly 95% of share out bonus of 55 cents per share.
In August of this year, HassanAhmed published research report, the current inventory of the global value chain is close to normal rapidly, and the customer's stock may have fallen to below the normal level, means that the inventory restocking moment will come soon. Inventory at or below the normal level, raw ore prices stabilise and titanium white spot prices rose, these three factors mean that titanium dioxide pricing level next year will be normal. Medium term, he notes, titanium white production can't have been in near the break-even point, especially for the integration of such low-cost producers. He expects huntsman, titanium dioxide business profitability will restore to about 12% of normal levels, "the profitability will be higher.
October titanium pigment market temporarily stable prices, producers are dying for falling now has achieved, but there exist a lot of worry, let the markets generally is worrying for the fourth quarter, the short term, prices rebound may be small, the market is still a single, look, see the payment in the form of a single!
It is reported, from the perspective of the current market, titanium ore and rutile poor sales, merchants thin margins, some traders cost down, even as the titanium pigment market turned pale and product price cut, titanium ore businessman mentality more pessimistic, enterprises face various aspects pressure, titanium ore and rutile is expected to price a rut recently.
Increasingly stable supply of titanium dioxide, which will probably lead to the moderate increase in prices. The expansion of the rich raw materials and supplies from China, will continue to be the prominent characteristics of titanium pigment market. Titanium pigment will still be a buyer's market. However, before to negotiate long-term contracts, readers may wish to consider the downstream market weak links. Despite the positive factors of market recovery, but the peak of China's growth and the eurozone crisis, will lead to the uncertainty of the industry development is growing. As a result, the industry said more bullish on the titanium pigment market next year.